The main difference between a trading professional and a newcomer
Novice traders - even before choosing a broker and further defining the strategy of actions in the binary options market - need to clearly understand what the key, most important, difference between a professional trader and a novice is. In other words: what is the always missing element? Why do professionals make money and I don’t? Understanding this aspect will allow anyone, even just a trader who has entered the market, to significantly maximize their chances of further profit. So. Of course, a professional differs from a novice with deeper and more systematic knowledge of fundamental, technical analysis, knowledge of tools, trading strategies, his money management, etc.
But all this - paradoxically as it may sound - is not the main difference between a professional and a newcomer. The key difference between them lies in the field of psychology. Let's look at it with a specific example. So, what do you think, what is the behavior pattern of a novice trader during or after receiving a loss? The first thoughts that come to the head of a novice trader, faced with difficulties, are that he was deceived. The broker’s fault. The system is to blame for everything. It’s all my fault ... and there’s plenty of imagination. At the beginner in the world of trading there is anger. All this is accompanied by a constant desire to win. Do you know this? Immediately after receiving a loss (even if not a big one), the novice trader, who decides to recoup, begins to get angry, in his actions there is fuss and confusion.
As a result, such a trader https://photosfortag.com/htag/trader begins to see trading signals where they are not, giving the desired to the real. And so ... he makes a deal. I think its result will be obvious to everyone. A new defeat gives rise to even greater anger and bustle, which, in turn, pushes for even more reckless and rash actions. The circle closes. No matter how absurd it may sound written, but this behavior is routine and truly typical for novice traders. It is in this behavior lies failure. What is the model of action of an experienced trader, a professional - in the event that he gets a loss? Everything is extremely simple here. A professional who understands the unpredictability of the market and is aware that the nature of things and phenomena (especially risk trading) is dual, does not react to defeat. In his actions he does not begin to see confusion and a convulsive desire to recoup at all costs. The professional will remain professional. He will study the mistake made, identify its causes and go to battle when it becomes even stronger. If a novice trading understands and, most importantly, understands this key difference between an experienced and novice bidder, he almost guarantees his professional growth and large sums of money in his wallet.
Only after understanding this psychological difference, a novice trader can proceed to all other aspects of trading.